Quantcha now offering unlimited commission-free options trading. Quantchabot has detected a promising Bull Put Spread trade opportunity for HSBC HOLDINGS (HSBC) for the 12-Feb-2021 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine. HSBC was recently trading at $27.98 and has an implied volatility of 31.61% for this period. Based on an analysis of the options available for HSBC expiring on 12-Feb-2021, there is a 34.13% likelihood that the underlying will close within the analyzed range of $27.99-$30.96 at expiration. In this scenario, the average linear return for the trade would be 37.82%. Big 7.91% Change: After closing the last trading session at $25.93, HSBC HOLDINGS opened today at $27.57 and has reached a high of $27.99. Trade approach: A movement as big as 7.91% is a significantly bullish indicator, so this trade is designed to be profitable if HSBC maintains its current direction and does not revert back to pricing on the bearish side of $27.98 on 12-Feb-2021. If possible, the trade has been padded such that slight movement against the trade would still return a profit. Upside potential: Using this bullish strategy, the trade would be profitable if HSBC HOLDINGS closes at or above $27.91 on 12-Feb-2021. Based on our risk-neutral analysis, there is a 51.07% likelihood of this return. Downside risk: As with any options trade, there is a substantial downside risk where you may lose most or all of your investment. To analyze this trade in depth, please visit the Quantcha Options Search Engine.